Thousands of families who are facing financial hardships are desperately trying to find ways to save their homes. One method worthy of consideration is a loan modification program. A program of this nature allows for new terms to be renegotiated on your mortgage. To find out how much you can save through utilizing this program, you need a loan modification calculator. This calculator will only determine your new payment. If you want clarity about whether or not you qualify, you will need loan modification software that has the tools and ability to analyze your loan in order to determine your chance of success. Finding out your potential savings is easy. However, finding out if you qualify or not from a financial standpoint is a bit more complex. There are just a few companies on the web who provide this service.

How can a loan modification help me?

Modification programs are intended to assist homeowners with keeping their homes. One of the programs is known as the Obama Mortgage Plan, which calls for mortgage payments to be capped at 31-38% of a family’s monthly income. This should reduce the mortgage payment by reducing the relevant interest rate, and possibly by extending the term of the loan as well, i.e. from 30 to 40 years. Occasionally, the principal on your loan can be reduced, but banks rarely allow for this.

What to do if you are facing foreclosure

The Obama Mortgage Plan can stop the foreclosure process on your home. Upon being approved for a loan modification program, the mortgage commitment is frozen for a period of one to three months. This allows time for the modification process to commence. If you have received a foreclosure notice, you need to delay the process as much as possible while exploring strategies of taking the most constructive step forward.

If you have already obtained a trial period payment (TPP), the Home Affordable Modification Program (HAMP) indicates that “With respect to a borrower who submits a request for HAMP consideration after a loan has been referred to foreclosure, the servicer must, immediately upon the borrower’s acceptance of a TPP based on verified income, and for the duration of the trial period, take those actions within its authority that are necessary to halt further activity and events in the foreclosure process, whether judicial or non-judicial, including but not limited to refraining from scheduling a sale or causing a judgment to be entered.”

Where can I find a calculator?

You can find a loan modification calculator online. This online instrument can be used free of charge and it literally requires only a few seconds of your time. This calculator allows you to find out how much you could save if you obtained a loan modification.

Is a calculator enough?

No. If you need clarity with regard to whether you qualify for a loan modification, and if so, what your new monthly payments would be, what you really need is access to online loan modification software.

For more information on loan modification software, please visit